Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at variance with commonly known facts, decide which of the given conclusion(s) logically follow(s) from the statements.
Statements:
Some houses are small.
Some small are forks.
All forks are knives.
Conclusions:
(I) Some small are houses.
(II) Some forks are small.​

​Statements:
Some houses are small.
Some small are forks.
All forks are knives.
From the above statement following Venn diagram will be - 

Conclusion

I: Some small are houses. (True, “Some houses are small,” we can imagine that the intersection exists, and so “Some small are houses” is logically possible.)

II: Some forks are small. (True, This is directly stated in Statement 2: “Some small are forks.” This means some forks are small (as it's the same relationship).

Correct answer is (c) ​Both conclusions (I) and (II) follow.